The Energy Regulatory Commission (ERC) has removed the four-month suspension on the reserve market, permitting the resumption of its full commercial operations.
In a report by Philippine Star, the ERC order relieved the cessation of billing and settlement for the price determination methodology (PDM), a system used to establish prices and settlements in the power spot market, in the Wholesale Electricity Spot Market’s (WESM) co-optimized energy and reserve segments.
In a July 26 resolution, the ERC concluded that the WESM operator and governing body had followed all relevant orders, alleviating the requirement for a longer suspension.
The Philippine Electricity Market Corporation (PEMC) and the Independent Electricity Market Operator of the Philippines (IEMOP) met ERC’s requirements for evaluating their application for the amended PDM.
Additionally, IEMOP was instructed to recalculate the reserve trading amounts for February to March 2024 and adjust the remaining 70% for the March billing period.
In March, the ERC had suspended reserve market billing and settlement following significant price increases compared to February.In May, the suspension was partly lifted, allowing power generators to recover some costs for March trading transactions.
